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Is Forestar Group (FOR) a Great Value Stock Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is Forestar Group (FOR - Free Report) . FOR is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.
Investors should also recognize that FOR has a P/B ratio of 0.70. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 1.26. Within the past 52 weeks, FOR's P/B has been as high as 1.23 and as low as 0.65, with a median of 0.99.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. FOR has a P/S ratio of 0.53. This compares to its industry's average P/S of 1.25.
Finally, we should also recognize that FOR has a P/CF ratio of 5.17. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 10.34. Over the past year, FOR's P/CF has been as high as 13.03 and as low as 4.79, with a median of 9.21.
Another great Real Estate - Development stock you could consider is Green Brick Partners (GRBK - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Furthermore, Green Brick Partners holds a P/B ratio of 1.26 and its industry's price-to-book ratio is 1.26. GRBK's P/B has been as high as 2.07, as low as 1.04, with a median of 1.59 over the past 12 months.
These are only a few of the key metrics included in Forestar Group and Green Brick Partners strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, FOR and GRBK look like an impressive value stock at the moment.
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Is Forestar Group (FOR) a Great Value Stock Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One company value investors might notice is Forestar Group (FOR - Free Report) . FOR is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.
Investors should also recognize that FOR has a P/B ratio of 0.70. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 1.26. Within the past 52 weeks, FOR's P/B has been as high as 1.23 and as low as 0.65, with a median of 0.99.
Value investors also use the P/S ratio. The P/S ratio is is calculated as price divided by sales. This is a popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. FOR has a P/S ratio of 0.53. This compares to its industry's average P/S of 1.25.
Finally, we should also recognize that FOR has a P/CF ratio of 5.17. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 10.34. Over the past year, FOR's P/CF has been as high as 13.03 and as low as 4.79, with a median of 9.21.
Another great Real Estate - Development stock you could consider is Green Brick Partners (GRBK - Free Report) , which is a # 2 (Buy) stock with a Value Score of A.
Furthermore, Green Brick Partners holds a P/B ratio of 1.26 and its industry's price-to-book ratio is 1.26. GRBK's P/B has been as high as 2.07, as low as 1.04, with a median of 1.59 over the past 12 months.
These are only a few of the key metrics included in Forestar Group and Green Brick Partners strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, FOR and GRBK look like an impressive value stock at the moment.